Defense Acquisition Workforce Improvement Act Contracting
(DAWIA Contracting Latest Practice Exam (Updated Edition)
Q1. During acquisition planning for a major defense system, the PM proposes incremental
contracting to reduce technical risk. Which FAR principle most directly supports this approach?
A. Competition requirements
B. Risk management through acquisition planning
C. Contract type selection policy
D. Small business utilization goals
Correct Answer: B
Explanation: FAR Part 7 emphasizes acquisition planning as a risk-mitigation tool, including phased or
incremental contracting to manage technical and performance uncertainties.
Q2. A contracting officer determines that a requirement is severable and crosses fiscal years. Which
funding approach is most appropriate?
A. Full funding with RDT&E
B. Incremental funding with no limitation
C. Annual funding consistent with bona fide need
D. No-year funding
Correct Answer: C
Explanation: Severable services must be funded annually under the bona fide need rule, even if
performance crosses fiscal years.
Q3. When market research identifies commercial items with minor military-unique modifications,
which acquisition strategy is preferred?
A. Non-commercial acquisition with tailored FAR clauses
B. Commercial item acquisition under FAR Part 12
C. Sole-source acquisition under FAR Part 6
D. Cost-reimbursement development contract
Correct Answer: B
Explanation: FAR Part 12 encourages use of commercial item procedures even when minor
modifications are required.
Q4. For an urgent operational need where delay would seriously injure the Government, which
authority best supports accelerated acquisition?
A. FAR 15.3
B. FAR 13.5
C. FAR 6.302-2
D. FAR 8.4
Correct Answer: C
Explanation: FAR 6.302-2 permits other than full and open competition for unusual and compelling
urgency.
, Defense Acquisition Workforce Improvement Act Contracting
(DAWIA Contracting Latest Practice Exam (Updated Edition)
Q5. In a best-value tradeoff source selection, which statement is correct?
A. Lowest price must always prevail
B. Non-price factors may outweigh price
C. Cost realism is prohibited
D. Past performance cannot be evaluated
Correct Answer: B
Explanation: FAR 15.101-1 allows tradeoffs where non-price factors can be more important than
price.
Q6. During evaluation, the SSEB identifies a weakness that increases risk but is correctable. How
should it be classified?
A. Deficiency
B. Significant weakness
C. Minor informality
D. Weakness
Correct Answer: D
Explanation: A weakness increases risk but does not meet the threshold of a significant weakness or
deficiency.
Q7. When is cost realism analysis required?
A. Firm-fixed-price contracts
B. Time-and-materials contracts
C. Cost-reimbursement contracts
D. Sealed bidding acquisitions
Correct Answer: C
Explanation: FAR 15.404-1(d) mandates cost realism analysis for cost-reimbursement contracts.
Q8. A solicitation states that past performance is significantly more important than price. Which
evaluation outcome is permissible?
A. Award to lowest price regardless of performance
B. Award to higher-priced offeror with superior performance
C. Award without documenting tradeoffs
D. Eliminate price from evaluation
Correct Answer: B
Explanation: Best-value tradeoffs allow higher price when justified by superior non-price factors.
Q9. A contractor experiences excusable delay due to unusually severe weather. What is the proper
CO action?
, Defense Acquisition Workforce Improvement Act Contracting
(DAWIA Contracting Latest Practice Exam (Updated Edition)
A. Terminate for default
B. Assess liquidated damages
C. Grant schedule extension without consideration
D. Increase contract price
Correct Answer: C
Explanation: Excusable delays under FAR 52.249 clauses warrant schedule relief but not price
adjustment.
Q10. The contractor submits a request for equitable adjustment (REA). Which element is essential?
A. Certified claim
B. Legal opinion
C. Causal link between change and cost
D. Board of Contract Appeals filing
Correct Answer: C
Explanation: An REA must demonstrate causation, impact, and quantifiable cost effects.
Q11. Which action requires a bilateral modification?
A. Administrative change
B. Funding increment under cost contract
C. Definitization of an undefinitized contract action
D. Change order under Changes clause
Correct Answer: C
Explanation: Definitization requires mutual agreement and consideration.
Q12. The COR observes performance outside contract scope. What is the COR’s proper response?
A. Direct contractor to proceed
B. Notify contractor in writing
C. Immediately stop work
D. Notify the CO
Correct Answer: D
Explanation: Only the CO has authority to direct changes; COR must notify the CO.
Q13. Which technique is a form of price analysis?
A. Reviewing indirect rates
B. Evaluating labor hours
C. Comparing proposed prices to historical prices
D. Auditing cost pools
, Defense Acquisition Workforce Improvement Act Contracting
(DAWIA Contracting Latest Practice Exam (Updated Edition)
Correct Answer: C
Explanation: Price analysis focuses on total price comparison without examining individual cost
elements.
Q14. When certified cost or pricing data are required, which threshold applies (absent exceptions)?
A. $100,000
B. $250,000
C. $750,000
D. $2 million
Correct Answer: D
Explanation: FAR 15.403-4 establishes the current threshold at $2 million.
Q15. A CO determines price reasonableness based solely on adequate price competition. Is this
acceptable?
A. No, cost analysis is mandatory
B. Yes, if competition meets FAR criteria
C. Only for cost-reimbursement contracts
D. Only with DCAA audit
Correct Answer: B
Explanation: Adequate price competition is a valid basis for price reasonableness.
Q16. Which situation most strongly justifies cost realism analysis on a fixed-price incentive contract?
A. Stable requirements
B. Mature design
C. High performance risk
D. Adequate competition
Correct Answer: C
Explanation: Cost realism may be used on fixed-price contracts when performance risk is high.
Q17. A requirement is set aside for small business but only one acceptable offer is received. What is
the correct action?
A. Cancel solicitation
B. Proceed with award if price is fair
C. Convert to full and open competition
D. Request SBA waiver
Correct Answer: B
Explanation: FAR allows award if the single offer is fair and reasonable.
(DAWIA Contracting Latest Practice Exam (Updated Edition)
Q1. During acquisition planning for a major defense system, the PM proposes incremental
contracting to reduce technical risk. Which FAR principle most directly supports this approach?
A. Competition requirements
B. Risk management through acquisition planning
C. Contract type selection policy
D. Small business utilization goals
Correct Answer: B
Explanation: FAR Part 7 emphasizes acquisition planning as a risk-mitigation tool, including phased or
incremental contracting to manage technical and performance uncertainties.
Q2. A contracting officer determines that a requirement is severable and crosses fiscal years. Which
funding approach is most appropriate?
A. Full funding with RDT&E
B. Incremental funding with no limitation
C. Annual funding consistent with bona fide need
D. No-year funding
Correct Answer: C
Explanation: Severable services must be funded annually under the bona fide need rule, even if
performance crosses fiscal years.
Q3. When market research identifies commercial items with minor military-unique modifications,
which acquisition strategy is preferred?
A. Non-commercial acquisition with tailored FAR clauses
B. Commercial item acquisition under FAR Part 12
C. Sole-source acquisition under FAR Part 6
D. Cost-reimbursement development contract
Correct Answer: B
Explanation: FAR Part 12 encourages use of commercial item procedures even when minor
modifications are required.
Q4. For an urgent operational need where delay would seriously injure the Government, which
authority best supports accelerated acquisition?
A. FAR 15.3
B. FAR 13.5
C. FAR 6.302-2
D. FAR 8.4
Correct Answer: C
Explanation: FAR 6.302-2 permits other than full and open competition for unusual and compelling
urgency.
, Defense Acquisition Workforce Improvement Act Contracting
(DAWIA Contracting Latest Practice Exam (Updated Edition)
Q5. In a best-value tradeoff source selection, which statement is correct?
A. Lowest price must always prevail
B. Non-price factors may outweigh price
C. Cost realism is prohibited
D. Past performance cannot be evaluated
Correct Answer: B
Explanation: FAR 15.101-1 allows tradeoffs where non-price factors can be more important than
price.
Q6. During evaluation, the SSEB identifies a weakness that increases risk but is correctable. How
should it be classified?
A. Deficiency
B. Significant weakness
C. Minor informality
D. Weakness
Correct Answer: D
Explanation: A weakness increases risk but does not meet the threshold of a significant weakness or
deficiency.
Q7. When is cost realism analysis required?
A. Firm-fixed-price contracts
B. Time-and-materials contracts
C. Cost-reimbursement contracts
D. Sealed bidding acquisitions
Correct Answer: C
Explanation: FAR 15.404-1(d) mandates cost realism analysis for cost-reimbursement contracts.
Q8. A solicitation states that past performance is significantly more important than price. Which
evaluation outcome is permissible?
A. Award to lowest price regardless of performance
B. Award to higher-priced offeror with superior performance
C. Award without documenting tradeoffs
D. Eliminate price from evaluation
Correct Answer: B
Explanation: Best-value tradeoffs allow higher price when justified by superior non-price factors.
Q9. A contractor experiences excusable delay due to unusually severe weather. What is the proper
CO action?
, Defense Acquisition Workforce Improvement Act Contracting
(DAWIA Contracting Latest Practice Exam (Updated Edition)
A. Terminate for default
B. Assess liquidated damages
C. Grant schedule extension without consideration
D. Increase contract price
Correct Answer: C
Explanation: Excusable delays under FAR 52.249 clauses warrant schedule relief but not price
adjustment.
Q10. The contractor submits a request for equitable adjustment (REA). Which element is essential?
A. Certified claim
B. Legal opinion
C. Causal link between change and cost
D. Board of Contract Appeals filing
Correct Answer: C
Explanation: An REA must demonstrate causation, impact, and quantifiable cost effects.
Q11. Which action requires a bilateral modification?
A. Administrative change
B. Funding increment under cost contract
C. Definitization of an undefinitized contract action
D. Change order under Changes clause
Correct Answer: C
Explanation: Definitization requires mutual agreement and consideration.
Q12. The COR observes performance outside contract scope. What is the COR’s proper response?
A. Direct contractor to proceed
B. Notify contractor in writing
C. Immediately stop work
D. Notify the CO
Correct Answer: D
Explanation: Only the CO has authority to direct changes; COR must notify the CO.
Q13. Which technique is a form of price analysis?
A. Reviewing indirect rates
B. Evaluating labor hours
C. Comparing proposed prices to historical prices
D. Auditing cost pools
, Defense Acquisition Workforce Improvement Act Contracting
(DAWIA Contracting Latest Practice Exam (Updated Edition)
Correct Answer: C
Explanation: Price analysis focuses on total price comparison without examining individual cost
elements.
Q14. When certified cost or pricing data are required, which threshold applies (absent exceptions)?
A. $100,000
B. $250,000
C. $750,000
D. $2 million
Correct Answer: D
Explanation: FAR 15.403-4 establishes the current threshold at $2 million.
Q15. A CO determines price reasonableness based solely on adequate price competition. Is this
acceptable?
A. No, cost analysis is mandatory
B. Yes, if competition meets FAR criteria
C. Only for cost-reimbursement contracts
D. Only with DCAA audit
Correct Answer: B
Explanation: Adequate price competition is a valid basis for price reasonableness.
Q16. Which situation most strongly justifies cost realism analysis on a fixed-price incentive contract?
A. Stable requirements
B. Mature design
C. High performance risk
D. Adequate competition
Correct Answer: C
Explanation: Cost realism may be used on fixed-price contracts when performance risk is high.
Q17. A requirement is set aside for small business but only one acceptable offer is received. What is
the correct action?
A. Cancel solicitation
B. Proceed with award if price is fair
C. Convert to full and open competition
D. Request SBA waiver
Correct Answer: B
Explanation: FAR allows award if the single offer is fair and reasonable.
